• Wealth  was  disproportionally   concentrated   in  single  family  homes for  minorities  which  lost  value  and  were  lost  to  foreclosures

• Subprime  lending  was  rampant  and  abuses  occurred  that  stymied  many  chances  at  wealth  accumulation

• Untenable   levels  of  joblessness   in  minority  communities

These  together  exasperated  the  Wealth  Gap  during  the  last  ten  year.

Why  and  where  did  they  lose

• Homeownership   is  STILL the  key  for  wealth  building  potential  and  stability.   IF  DONE  CORRECLY  

• Good  for  the  economy,  good  for  children,  enhances  neighborhoods,   lowers  government  services  and  has  an  economic  impact  like  job  multipliers  and  helps  you  build  assets.

• There  is  an  inverse  relationship  between  poverty  and  homeownership   rates

• Homeownership  keeps  people  engaged   in  their  community.

Housing  Assumptions

Homeownership  rates  have  fallen  sharply  since  the  peak  in  1960’s.  From  nearly  60  percent  to  40  Percent

Why• Credit• Savings• Debt• Costs  (Home  prices  have  hit  a  Record  High)• Delayed  Purchases  (Paradigm  shift  and  Millennials)  • Apartment  Influx• Mixed  Income  communities  and  Texas  don’t  mix  well• Restrictive  and  tight  credit• Immigrant/Minority  Disparities  • Suburban  competition  -­ flight• Poverty  and  Asset  Poverty• Lack  of  scalable programs  that  promote  homeownership• There  is  a  great  divide  that  squeezes  homeownership  opportunities  (classic:  economic  segregation)  It  causes  wide  rises  in  home  prices  in  one  area  and  stagnation  in  the  other  – limiting  opportunities  for  everyone.

Examples  -­ Drivers  Impacting  Single  Family  Housing  Trends  in  Dallas  

Simple  formula,  not  always  simple  to  achieve1) You  need  to  hone  your  skill.    2) You  need  to  make  it.  This  means  that  before  you  can  begin  to  

save  or  invest,  you  need  to  have  a  long-­term  source  of  income  that's  sufficient  enough  to  have  some  left  over  after  you've  covered  your  necessities.

3) You  need  to  save  it.Once  you  have  an  income  that's  enough  to  cover  your  basics,  you  need  to  develop  a  proactive  savings  plan.

4) You  need  to  invest  it.Once  you've  set  aside  a  monthly  savings  goal,  you  need  to  invest  it  prudently.    Housing  is  still  a  great  option.

5) Timing.  1-­3  don’t  happen  overnight!  It’s  a  long  term  strategy.

You  want  to  Build  Wealth  and  close  the  gap!